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CLAIM #47224 · ORCL (ORCL) · 2023Q4 earnings call · Jun 12, 2023 · due May 31, 2024

As on-premise databases migrate to the cloud and cloud at customer, we expect these cloud database services will be a third leg of revenue growth and revenue growth acceleration, alongside back office SaaS and Gen2 OCI cloud services.

Safra Catz · CEO

PENDING
graded after results covering May 31, 2024 are reported

In context

ized revenue of $6.6 billion, and grew 24%, including Fusion ERP, up 28%, and NetSuite ERP, up 24%. Together, our strategic back office businesses are now larger and have grown faster than our local competitor for four straight years. Infrastructure subscription revenues, which also include support, were $5 billion, up 15%. As mentioned already, infrastructure cloud services revenue was up 77%, excluding legacy hosting services. Infrastructure cloud services revenue grew 89%, with an annualized revenue of $5.2 billion, including OCI consumption revenue, which was up 112%. Cloud at customer consumption revenue was up 60%, and autonomous database was up 47%. Database subscription revenues, which include database support, were up 6%, highlighted by cloud database services, which were up 41%. As on-premise databases migrate to the cloud and cloud at customer, we expect these cloud database services will be a third leg of revenue growth and revenue growth acceleration, alongside back office SaaS and Gen2 OCI cloud services. Software license revenues were $2.2 billion, down 14%, following the 25% growth we saw a year ago in Q4. So, all-in total revenues for the quarter, including Cerner's revenue contribution of $1.5 billion, were $13.8 billion, up 18%. Shifting to margins, the gross margin percentage for cloud services and license support was 78%, as a result of the mix between support and cloud. Last year, Oracle license support revenues, with its mid-90s gross margins, represented about 62% of cloud services and license support revenue, and now it's down to 53%. But this is happening because our cloud services are growing much, much faster than license support, even as license support continues to grow. Most importantly, gross profit dollars of cloud services and license support grew 19% with Cerner, 10% e

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SEC filings for ORCL · Claim quote is verbatim from the 2023Q4 earnings call.